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Working Off-The-Clock. The phrase "working off-the-clock" refers to a situation where a non-exempt employee performs services for his/her employer, but does not record it on his/her time card/sheet. Off-the-clock work is often performed voluntarily by employees either because they are trying to impress their employers with their efficiency (i.e., it will appear they got a lot done in very little time), or because they truly are dedicated workers. This type of off-the-clock work is often performed without the knowledge of the employer. Employers also have been known to require off-the-clock work to avoid overtime and keep within a budget.
Regardless of which type of off-the-clock work is performed, however, it must be compensated. Employers are required to pay employees for all work they perform on behalf of the employer, without exception. Obviously, in the case of off-the-clock work which is being performed without the employer's knowledge, it will be difficult for an employer to disprove any claims that such work was, in fact, performed. One suggestion is to maintain a policy which specifically prohibits off-the-clock work, and subjects offenders to disciplinary action. The presence of such a policy could impact the credibility of an employee who claims he/she worked off-the-clock, i.e., he/she will have to admit violating company policy in order to make such a claim.
In conclusion, the FLSA is an oft-overlooked but omnipresent statute which can have a tremendous impact on an employer's bottom line. We strongly recommend that every employer conduct a thorough audit of its wage/hour practices before the Department of Labor or a plaintiff's attorney does it for you.
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